SilkAir Signs Agreement for up to 68 Boeing 737s

SilkAir signed an agreement for up to 68 Next-Generation Boeing 737s, a deal that includes firm orders for 23 Boeing 737-800s and 31 Boeing 737 MAX 8s with options for another 14 737s.

The regional subsidiary of Singapore Airlines and Boeing report that when finalized, the purchase price will be $4.9 billion.

"Boeing congratulates SilkAir for selecting the 737 and looks forward to finalizing this order at which time the airplanes will be posted to the Boeing Orders & Deliveries website as a firm order," Boeing said in a statement Friday.

SilkAir said that it expects deliveries to begin in 2014 and continue to 2021.

"We continue to see very strong growth within the region and these new aircraft will position SilkAir well. They will enable us to spread our wings to even more destinations and increase capacity on existing routes, contributing to the overall SIA Group network," said Marvin Tan, CEO of SilkAir. "The selection of the B737 follows detailed evaluations and extensive negotiations with both Airbus and Boeing. The order will enable us to maintain a young and modern fleet, with an aircraft that has a proven track record of strong customer appeal, excellent reliability and low operating costs."